Top shares gained ground in London on Thursday as the global mood lightened thanks to apparent progress in US-Chinese relations.

The FTSE 100 closed up 69.61 points, or 0.98%, at 7,184.32.

It was just behind European peers as the German Dax rose 1.18% and the French Cac climbed 1.51%.

David Madden, market analyst at CMC Markets UK, said: “Equity markets in Europe are in positive territory heading into the close as US-China trading relations have taken a positive turn. The Chinese ministry for commerce made it clear they are keen to strike a deal, but at the same time they will not be pushed around.

“Beijing admitted that further trade tensions will be harmful to everyone, and foreign firms operating in China won’t come under pressure, but at the same time, the country is willing to flex its financial muscles to inflict pain on the US should it see fit.”

The international-focused FTSE also benefited from a flat day for the pound, as the currency dipped 0.1% to 1.220 US dollars. It was up 0.17% on the euro at 1.104.

While relatively quiet compared to the previous day, analysts said the currency is likely to be volatile amid the row over Boris Johnson’s decision to suspend Parliament in mid-September.